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  3. skyview has income available to common shareholder

Skyview has income available to common shareholders of $10,000,000 for the year 2022 (e. preferred...

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Accounting

Skyview has income available to common shareholders of $10,000,000 for the year 2022 (e. preferred dividends were already deducted in arriving at this amount). 2,000,000 weighted average common shares were outstanding for the year 2022 and the average market price of common shares was $75 during the year 2022. Skyview has the following potential convertible instruments outstanding during the year: Options to purchase 100.000 common shares at $60 each. 800,000 convertible preferred shares entitled to a cumulative dividend of $8 per share. Each preferred share is convertible into two common shares. 5% convertible debentures with a principal amount of $100.000.000 (issued at par). Each $1,000 debenture is convertible into 20 common shares. The tax rate was 40% for 2022. What is the amount of basic earnings per share? $ If the options are converted, what is the relevant increase in the amount of shares to be used in the calculation of diluted earnings per share? Are the options dilutive

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